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3 Penny Stock Trading Mistakes

October 18, 2010 | Author: | Posted in Stock Market

Many investor don’t take penny stocks seriously.But do you know this fact that penny stocks or what are also known as microcaps have historically outperformed the large caps and the mid caps in the last few decades. Can you imagine a large cap stock making a 5% move in the next few days? A large cap usually makes this much move in a matter of months what to talk of days. On the other hand, a microcap can easily make a move as big as 100% or even 200% in the next few days. So, the money making potential with penny stocks is huge.